US Subsidiaries of Foreign Companies

TCG has significant experience in assisting non-US clients with all aspects of creating and staffing a US subsidiary. Recently, we helped a German medical device company build a US subsidiary by forming and managing the company in a way that saved time and money while also delivering the market and business expertise the business needed.  After two years, the US subsidiary now accounts for nearly 20% of the company’s worldwide sales.

Deciding to create a U.S. subsidiary can be the best way for a non-U.S. company to enter the American market.  The cost is incremental compared to other business development costs, and the subsidiary can be established in a matter of days.  The benefits are clear:  the company can be closer to its customers so it can react to the changing US market faster and the product support is more timely making for more satisfied customers and a better corporate reputation. Plus, a US operation  can  help obviate many legal problems through state laws, and it can be more effective in setting up and overseeing costly distribution channels.

TCG’s team of consultants has experience setting up a dozen firms so we know first hand all the legal, financial and management aspects of creating American subsidiaries for non-U.S. companies.   We also know how to expertly staff the company with a mix of full-time and part-time employees to meet the company’s business objectives in the most cost effective way possible.

When partnering with European companies, you must be aware of the culktural differences. An interview with Dr. Bob. Keefer, originally published in the Triangle Tech Journal, gives valuable hints.

"Commercialization is all part of brand management, how you build a brand. The companies who specialize in this may prove very helpful" says Dr. Robert Keefer. Read "Companies Supporting Other Companies" from The State of Life Sciences in North Carolina (Supplement) in The Scientist.